This paper provides data that indicates that Angel investors, generally wealthy individuals investing alone or in an informal group, have accepted lower returns on their investments than have Venture Capital firms (VCs) investing in similar seed/early stage investments. The hypothesis of this paper is that Angels seek, and receive, non-economic returns to make up the shortfall in financial returns.
"ANGEL RETURNS: A CASE OF PSYCHIC INCOME? (SUMMARY),"
Frontiers of Entrepreneurship Research: Vol. 29
, Article 4.
Available at: http://digitalknowledge.babson.edu/fer/vol29/iss2/4